The “straddle plant” will be located near SaskEnergy’s pipeline system in Viewfield, Sask., where it will be used to remove the natural gas liquids so it could be transported for home and business use.

The natural gas will then be compressed and put back into the transmission pipeline.

BESCO will hold a 10 per cent share in the facility.

The plant is expected to be operational in early 2015, with construction slated to begin next year.

“This project with SaskEnergy provides the opportunity for Midstral Midstream, already a major investor in energy infrastructure in Saskatchewan, to play a unique role in our economy with a facility that develops ethane and other natural gas liquids that are in high demand by the market in Western Canada,” Doug Kelln, president and CEO of SaskEnergy said in a statement.